Company Summary

Loading data...

PEER COMPANIES

NEW DELHI: Falling for a fourth straight day, the domestic equity market ended on a weak note on Monday on selloff in FMCG and bank stocks and rupee’s plunge to a fresh record low.

India’s stellar GDP data for June quarter failed revive market sentiment as further escalation in US-China trade war worries and persistent pain in emerging market currencies played spoilsport.

The rupee extended weakness as it breached the 71 mark against the dollar to hit a fresh intraday record low on Monday. The domestic unit had opened 22 paise up at 70.78.

Moreover, the Karnataka urban local bodies poll outcome hinted at a likely trend reversal in the voters' preference, as the Congress led by slim margin ahead of the BJP and JDS. This holds crucial importance as key states such as Madhya Pradesh and Rajasthan, the two BJP strongholds, face elections soon.

The 30-share index had opened 271 points higher in today's trade only to reverse gains during the day, witnessing a swing of over 600 points. Sensex on the day witnessed the biggest single-day fall since March.

Only eight stocks in the 30-share index managed to end in the green while the rest settled in the red.

In Nifty50 index, 17 stocks settled in the green while the rest 33 shut shop in the red. Dr Reddy's Labs was the top index gainer and ITC the worst laggard.

In the sectoral space, only metals and media indices managed to end on a firm footing. Meanwhile, FMCG, banking, realty, financials and auto indices dropped over 2 per cent.

Below are five key factors that weighed on market today:

Easing manufacturing growthIndia’s manufacturing sector activity eased for a second consecutive month in August, mainly on account of slower gains in output and decline in fresh orders, a monthly survey said Monday. The Nikkei India Manufacturing Purchasing Managers' Index fell to 51.7 in August from 52.3 in July, as operating conditions improved at the slowest pace since May.

Subdued global cuesGlobal shares ended mostly in red on Monday as trade tensions returned to the fore, with Donald Trump eyeing fresh tariffs on a swathe of Chinese goods and NAFTA talks with Canada hitting a wall. Asian peers including Shanghai, Hang Seng, Jakarta, Nikkei, Kospi and Taiwan declined between 0.15 per cent and 1 per cent.

Rupee below 71-markFalling rupee also turned market participants cautious on Dalal Street. The local currency scaled its fresh all-time low of 71.07 against the dollar during the trade.

Fall in GST collectionsThe Finance Ministry on Saturday revealed that the total gross revenue collection towards the Goods and Services Tax (GST) GST for the month of August amounted to Rs 93,960 crore, down from Rs 96,483 crore last month.

Questions over GDPThe Street was cautious after former finance minister P Chidambaram expressed scepticism over India's GDP growth prospects, saying it would ‘not be so favourable’ in third and fourth quarters, despite the GDP growing at 8.2 per cent in the first quarter. He said the country's growth rate might decline in the third and fourth quarters and be the same as that reported in the last fiscal.